Core Viewpoint - Citic Securities has raised the target price for China Resources Beer (00291) by 4.2%, from HKD 33.2 to HKD 34.6, while maintaining an "outperform" rating. However, the firm has lowered its earnings forecast for the company for 2026 and 2027 [2] Group 1: Financial Performance - The company's 2025 performance largely aligns with previous profit warnings, but the average selling price (ASP) of beer in the second half of 2025 is expected to decline by 4.6% year-on-year, which is worse than anticipated [2] - The decline in ASP is attributed to one-time consumer promotional activities, with expectations for a return to normal in 2026 [2] - Management is optimistic about ASP growth in 2026, with January and February showing year-on-year increases in both average selling price and sales volume [2] Group 2: Dividend Policy - The company's dividend payout ratio for 2025 is 53%, which is below market expectations, although the current dividend yield exceeds 4% [2] - Management aims to stabilize and gradually increase the dividend payout ratio [2] Group 3: Market Dynamics - The sustainability of the recovery in the catering industry is identified as a key potential driver for the year [2]

Core Viewpoint - The stock price reaction of Budweiser APAC after the announcement of Q4 2025 results was weak, attributed to sluggish performance in China, management's cautious outlook on the recovery of the dining channel in 2026, and uncertainties surrounding the dividend plan [1] Group 1: Company Performance - Budweiser APAC's management is focusing on home and O2O (online-to-offline) channels, but the recovery is expected to be gradual [1] - The company anticipates that sales recovery may be offset by additional investments and reductions in average selling prices [1] Group 2: Financial Forecasts - Citi has downgraded Budweiser APAC's earnings forecasts for the fiscal years 2026-2027 [1] - Despite the downgrade, the valuation has been moved forward by one year, maintaining the target price at HKD 9 [1] Group 3: Market Outlook - The outlook for the dining industry remains uncertain, with the company waiting for clear catalysts [1] - Positive news regarding the dining industry or O2O channels could present upside risks [1]